Photo: Getty (Getty Images)
Used cars are finally getting popular in Chinawhere car buyers traditionally prefer new cars to used cars by a large margin. The growth in used car sales in China also applies to electric cars, with used electric vehicle sales almost doubling to 47,000 in 2020. The China Automobile Dealers Association expects that number to be higher by the end of 2021, according to Bloomberg Reports.
That growth is good because even though China has affordable electric vehicles like that Wuling MINI EV, with even more affordable options – such as used versions of the same cars – makes EVs available to more people. We don’t just need more electric vehicles; we also need used EVs. And China again EV market is enviable.
Photo: Getty (Getty Images)
According to this, the most popular price range for used electric vehicles is just under $ 16,000 Bloomberg, but the used prices start significantly lower. The Wuling MINI EV can cost as little as $ 4,150 in the used market, down from around $ 5,000 for a new car. That might not sound like much of a difference, but it is almost a fifth of the price. Other electric cars move around the same number for Value retention.
Used electric vehicles from Li Auto retain around 80 percent of their value, those from Nio 77 percent and those from Tesla around 74 percent. That’s over a quarter of Tesla’s original price! And it’s not that these used electric cars are outdated or have dead batteries.
Most used electric vehicles bought in China are less than three years old EVERYONE. I bet a 2018 electric car that is a fifth or a quarter cheaper when new would appeal to a lot of buyers in the US who are still not entirely convinced that electric cars are right for them.
We keep waiting for EVs to drop below the $ 30,000 mark, but ourselves with it reduced range, it is unlikely that we will see a cheap electric car very soon. But the used market could fill the cheap EV void in the US – if it ever returns to normal. It’s not ideal, but the only cheap electric car we’ll see in the short to medium term is likely to be a used one.
Photo: Getty (Getty Images)
